9 March 2020
Drax Group plc
("Drax" or the "Company"; Symbol:DRX)
Capacity Market agreements for existing assets
T-4 Auction Provisional Results
Drax confirms that it has provisionally secured agreements to provide a total of 2,562MW of capacity (de-rated 2,333MW) from its existing gas, pumped storage and hydro assets(1). The agreements are for the delivery period October 2023 to September 2024, at a price of £15.97/kW(2) and are worth £37 million in that period. These are in addition to existing agreements which extend to September 2023.
Drax did not accept an agreement for the 60MW Combined Cycle Gas Turbine (CCGT) at Blackburn Mill.
A new-build CCGT at Damhead Creek and four new-build Open Cycle Gas Turbine projects participated in the auction but exited above the clearing price and did not accept agreements.
Enquiries:
Drax Investor Relations: Mark Strafford
+44 (0) 7730 763 949
Media:
Drax External Communications: Ali Lewis
+44 (0) 7712 670 888
Website: www.drax.com
Notes:
(1) Existing assets - gas (Damhead Creek, Rye House, Shoreham and three existing small gas turbines at Drax Power Station), Cruachan Pumped Storage and the Galloway hydro scheme (Tongland, Kendoon and Glenlee).
(2) Capacity Market agreements stated in 2018/19 real-terms, with payments indexed to UK CPI.
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